B&G Foods has a great dividend, which the company have increased 3-times in the past 14-months. Their strategy of acquiring smaller, but high-margin brands from other companies has proven very successful for B&G. Brands like Cream of Wheat, acquired from Kraft Foods. Their most recent acquisition was a number of brands from Unilever, including the Mrs. Dash seasoning and marinades products.

Recently, B&G Foods has begun dipping their toes into non-food products. In addition to the acquisition of some of Unilever's food products, B&G acquired the Static Guard and Kleen Guard brands from Unilever. And earlier this month, B&G formed a strategic alliance with global consumer products company, Jarden Corporation.

Consumer staples are my favorite buy. The flatter the global economy becomes, the greater number of people who will have income for inexpensive luxuries and convenient food products. There are growth opportunities in this industry.

The dividend yield is 5%. That wouldn't be enough for me to add this company, but they were on fire before the mini-crash. They are introducing healthier food products like the Ortega whole wheat taco shell. That new product has been a good one for them. Transportation costs hurt them, but gas prices are lower now and should help the next quarter. They produced $22 million in cash flow for the first six months of the year. And made $1.82 per share in cash flow in 2010. TTM cash flow is $71 million or $1.46 per share giving them a cash flow yield of 8.7%. Very cheap.

B&G Foods has a diversified grouping of products marketing in the US, Canada and Puerto Rico. Everything from oatmeal to salsa and peppers. ROE is 19.5% currently, while the EPS growth Y/Y is 55% FY 2010. Div of 4.5%. The one problem I see is Debt/Cap of 65% which is well above the industry avg.